Gift Nifty Signals Flat Open for Sensex, Nifty on Wednesday

Mumbai, November 9: Gift Nifty futures point to a flat opening for the Sensex and Nifty 50 on Wednesday, with the contract at a premium of about 13 points to the Nifty’s close. Indian markets reopen after a one-day break for Diwali-Balipratipada on Tuesday. The benchmarks ended higher on Monday on lower crude oil prices and buying in bank stocks. 

The near-month Gift Nifty contract was at 25,058.00 in Monday’s trade, up 68 points, or 0.27 per cent, from its previous close of 24,990.00, after swinging between 24,834.50 and 25,105.00. Against the Nifty 50’s close of 25,044.65, that is a premium of 13.35 points, or 0.05 per cent. 

Oil is lower. Brent crude is at USD 96.93 a barrel, down 1.41 per cent, and West Texas Intermediate (WTI) is at USD 89.85, down 1.08 per cent. 

Asia is mixed. Taiwan jumped 4.94 per cent and Japan’s Nikkei rose 2.33 per cent, while South Korea’s Kospi fell 0.81 per cent. 

Monday’s Close 

Indian equity benchmarks ended higher on Monday in a range-bound session. Profit booking after last week’s rally capped the gains, but lower crude oil prices and buying in bank and financial stocks kept the indices in the green. The Sensex climbed 107.25 points, or 0.13 per cent, to settle at 81,106.65, after touching an intraday high of 81,339.41, up 340.01 points, or 0.41 per cent. The Nifty 50 rose 58.25 points, or 0.23 per cent, to close at 25,044.65. 

Among Sensex stocks, State Bank of India (SBIN), Trent (TRENT), Larsen & Toubro (LT), NTPC (NTPC), HDFC Bank (HDFCBANK) and ICICI Bank (ICICIBANK) were the major gainers. HCL Technologies (HCLTECH), Tata Steel (TATASTEEL), UltraTech Cement (ULTRACEMCO) and Bajaj Finance (BAJFINANCE) were the major laggards, while weakness in IT and metal stocks weighed on the market. 

Last week, the Sensex jumped 8.82 per cent and the Nifty 50 gained 8.57 per cent. The indices had slipped slightly in Sunday’s Muhurat session after a seven-day rally. 

Asian Stocks 

Asian stocks were mixed on Monday, with Taiwan and Japan leading the gains after sharp falls on Friday. Taiwan jumped 4.94 per cent to 41,661.70 and Japan’s Nikkei rose 2.33 per cent to 58,775.50. Shanghai added 0.32 per cent to 3,660.79 and Australia’s ASX 200 inched up 0.10 per cent to 9,029.70. On the other side, South Korea’s Kospi lost 0.81 per cent to 5,018.85, Shenzhen fell 0.27 per cent to 11,145.49 and Hong Kong’s Hang Seng eased 0.13 per cent to 24,448.95. 

Oil Prices 

Oil prices fell on Monday, with Brent crude down USD 1.39, or 1.41 per cent, at USD 96.93 a barrel and WTI down USD 0.98, or 1.08 per cent, at USD 89.85. Murban crude was quoted at USD 99.17, up USD 3.28, or 3.42 per cent, on Friday’s data. The OPEC basket rose 2.63 per cent to USD 93.21 and natural gas gained 0.93 per cent to USD 3.026, while Mars crude slipped 2.50 per cent to USD 120.45. Lower prices ease India’s import bill and inflation. 

Supply worries also eased over the weekend. Iraq has reached understandings with the United States to allow its oil exports through the Strait of Hormuz via a shipping lane near Oman, Foreign Minister Fuad Hussein told Al Jazeera on Sunday. Iraq’s exports recovered to about 3.5 million barrels per day in October from 2.65 million in September, though he put its losses from the Iran war at USD 60 billion. 

Separately, CNN reported that US President Donald Trump said fresh attacks on Iran are highly unlikely as long as talks to end the conflict progress. 

Market Holidays 

The NSE and BSE will stay closed on Tuesday, November 10, for Diwali-Balipratipada, and trading resumes on Wednesday, November 11. The next trading holiday is Tuesday, November 24, for Guru Nanak Gurpurab. 

Sources

•  nseix.com
• NSE data
• BSE data
• PTI
• CNBC
• OilPrice.com